FTC orders Genshin Impact developer to block young teens from making in-game purchases


Children and younger teenagers may not be able to play Genshin Impact’s gachas. The developer behind the game has AGREES to block players under 16 years of age from making in-game purchases without parental consent to resolve a complaint from the Federal Trade Commission. It also agreed to pay a $20 million fine. Samuel Levine, the director of the FTC’s Bureau of Consumer Protection, said that “Genshin Impact conned children, teenagers, and other players into spending hundreds of dollars on prizes that had little chance of being won.” win.”

The developer’s marketing actively targets children, the commission said in its complaint, and the company also violated COPPA by collecting personal information from children under the age of 13 and using confusing virtual monetary system that is unfair to children and young people. The FTC says it misleads players about how much they need to spend to get rarer prizes. Genshin effect uses a gacha system instead of the traditional loot box mechanic, where players can “pull” banners to win a random item or character.

Under the FTC’s proposed order, it wants to ban it Genshin effect from selling loot boxes with virtual currency unless it also provides an option to buy them directly with real money. It wants to prohibit the developer from misrepresenting loot box odds and processes, and it wants to require the company to disclose gachas’ odds and the virtual currency exchange rate. The commission wants to order HoYoverse to delete personal information collected from children up to 13 unless it is also obtained with parental consent. A federal judge still needs to approve the proposed order on all of these requirements, however, so it won’t go into effect immediately.



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